HT Media Ltd
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HT Media Ltd
NSE:HTMEDIA
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Good afternoon, ladies and gentlemen. This is Aaditya Mulani from the HT Media Group. I would like to welcome you all to our quarter 3 financial year 2023-'24 earnings webinar.
[Operator Instructions] I now hand over to Ms. Anna Abraham, Head, Investor Relations, HT Media Group and Chief Financial Officer, Hindustan Media Ventures Limited. Thank you, and over to you, Anna.
Thank you, Aaditya. A very good afternoon to everyone. Welcome to the earnings webinar to discuss the financial results of HT Media Group for the third quarter of financial year '23-'24. Mr. Piyush Gupta, Group CFO; Mr. Pervez Bajan, Group Controller; and members of our Investor Relationship team have joined me on the call today.
The financial results of Hindustan Media Ventures Limited was declared on Wednesday, 17th January. Results of HT Media Limited was released earlier today. We have captured the highlights of these results in the presentation on this Zoom webinar. This presentation, along with the financial statements, is available on the stock exchanges and the Investor Relations section of our website. We will now start the presentation.
Slide 2 captures the disclaimer regarding forward-looking statements. We do not, as per practice, provide specific revenue or earnings guidance. Kindly keep that in mind as we have our discussions.
This slide gives our Chairperson's comments on the performance of the company in the quarter, and I quote, "The third quarter of the current fiscal year saw the festive season across the country, the Cricket World Cup and also assembly elections in several states. As a result, overall business sentiment remained upbeat, supported by a moderating trend in general inflation and continuing rationalization in the prices of key commodities.
Your company saw sequential revenue growth and an increase in profitability across all primary verticals. On the back of stronger advertising revenues, our Print business posted a sequential growth, while margins improved on both Y-o-Y and Q-on-Q, with newsprint prices normalizing further. Radio saw better traction in the FCT segment, which resulted in sequential revenue and margin improvement.
The digital business reported strong revenue growth, although investments in new business impact that vertical's margins. With the national elections around the corner and the infra push, we believe consumer spending will pick up, and we are hopeful of capitalizing on the same. We remain cognizant of the ongoing global conflict and sporadic attacks on global supply lines that could impact the overall business environment.
Now as always, we remain committed to our journalistic ethos and to being a singular destination for our audiences for credible and engaging news and entertainment."
This slide gives the key areas that we will cover today. We will begin the performance of date with comments on our consolidated financials. This will be followed by performance highlights of each of the business verticals, our print, radio and digital businesses. We will open for a Q&A session after the presentation concludes.
With this, I hand over the call to Mr. Piyush Gupta, Group CFO.
Thank you, Anna. So we'll be tracking the presentation here. First, let's go to the consolidated performance. As you can see on your chart, total revenue for the quarter came at INR 486 crores, which is flat versus the same period last year. Sequentially, however, there's a 14% growth at second quarter which is INR 427 crores. This is primarily due to the shift in the festive season.
If you look at the EBITDA line, again, a flat number of INR 29 crores versus the same period last year with margins at 6%. PBT came in at a negative INR 22 crores, which is an improvement of INR 8 crores versus the same period last year, and net cash remains at a robust INR 754 crores.
In the key highlights we've tracked, our operating revenues saw uplift in the third quarter due to the festive season. However, advertisement spends in festive was muted as compared to the previous year and to our expectations. EBITDA continues to improve given softening of newsprint rates and despite higher investment in our new business, which is OTTplay.
Moving on to business unit performance. If you look at the print performance, revenues were flat at INR 283 crores and a 16% growth sequentially over the prior quarter. Circulation revenue, however, saw a marginal decline of 2%, which is predicated on the number of copies. The RPC still remains strong. Operating revenues, therefore, came at INR 363 crores, which is down 2%, and versus the prior quarter, they are up 12% at INR 324 crores, which was second quarter. Operating EBITDA came to INR 26 crores against a INR 4 crore negative last year with margins at 7%.
In the key highlights, good sequential growth in ad revenue given the festive quarter and significant improvement in operating EBITDA and margins.
Going -- drilling down a level further. If you look at our English print business on the left side of your chart is the ad revenue. So if you look at Y-o-Y growth at INR 158 crores, which is virtually flat versus the same period last year. Sequentially it's up 20% at INR 158 crores. Circulation revenue on a Y-o-Y basis was 14% high; sequentially, it's flat.
If you look at Hindi on the left-hand side, ad revenue on a Y-o-Y basis is again flat; had a growth of 1%. Quarter-on-quarter, it's 11% growth. Circulation revenue, however, both Y-o-Y and quarter-on-quarter is a decline of 7% and 6%, primarily due to reduction of copies.
Radio has been a bit of a challenge. And in spite of our best effort, radio revenue has not come up to speed as much as we would have liked to. There is a marginal decline of 4% with revenues tracking to INR 40 crores and operating EBITDA at INR 3 crores with 7% margin as against 17% margin last year. Sequentially, of course, they were up 12%.
And finally, digital. This is not the Digicontent Limited, which is a separate company. This is the digital which all the logos are on the top of the chart. If we see, the operating revenue came at INR 39 crores, which is a 34% increase versus same period last year. However, operating EBITDA also expanded the loss by about INR 11 crores at minus INR 34 crores. So these are the investments in OTTplay that we're having.
And with that, we come to the end of the presentation. Over to you, Anna.
Thank you, Piyush. We will now begin the Q&A session. [Operator Instructions] The first question is from the line of [ Mehul Parekh ]. Please unmute yourself and ask your question.
Hello. Can you hear me?
Yes.
My name is Mehul Parekh. I am an individual shareholder of Hindustan Media Ventures Limited. My first question is that this INR 4 crore revenue that we are showing in digital section of HMVL results, this is the -- package generally is around -- at an average of say INR 1,000 per annum. So is this the full amount recorded? Or is it a proportioned on a quarter-to-quarter basis?
It is a proportionate revenue. The recognition of revenue will be basis the duration of the package and then only as and when it gets utilized, we recognize. While we, of course, collect the money upfront, and then it will be sitting as part of that project.
Okay. So if we look at -- if we estimate expenses to be, say, around [Audio Gap] crores odd for -- towards marketing and all, we are practically spending 100% of the first year's revenue as marketing costs. Is that right to assume?
No, the substantial portion of the cost would actually be in securing the arrangements on the content side.
Hello?
Hello, am I audible?
Yes, I missed it. I missed it. Yes, tell me.
The substantial cost would be in securing the content that we are offering. And there will be also some acquisition cost. Marketing cost is very limited, actually.
Yes. So this figure has jumped substantially. So I just wanted to understand that this jump is essentially the acquisition costs, right?
This jump is essentially the content cost, as you see, we already have, 3-0, 30 platforms. So the cost for the content is what has gone up.
Similar to the revenue recognition, the content cost recognition also happens as we kind of sell the packages, and it's not a flat line cost.
Okay. Okay. So it's on a per subscriber basis.
Yes.
The next question is from the line of Sakshee Chhabra. Please introduce yourself and ask your question.
This is Sakshee here from Svan Investments. So my first question was I wanted to understand that the newsprint prices have already corrected significantly. I just wanted to understand what is the trajectory going forward on the newsprint prices?
So Sakshee, this is Piyush this side. So newsprint prices, if you look on a Y-o-Y basis, have already corrected close to about 19%, 20%. We believe that for the next couple of quarters, we will still see them sliding downwards.
Of course, the wild card at this point is the shipping cost which my colleague was highlighting earlier on in the presentation, given the complication in the Red Sea and the shipping lines, et cetera, that cost has escalated and that might impact adversely.
But of course, shipping costs, though it's a substantial cost but not a very substantial cost, that might have some short-term implication, but I think as far as the commodity is concerned, the prices will remain soft and probably go down a little from here on in the next couple of quarters before they stabilize for good.
Okay. So another 2, 3 quarters, you see it decrease over?
Yes. Though I'm not predicting that how much the decrease will be, but we believe the trajectory will continue. Whether it will be 1% or 5% or 10%, only time will tell. But I think they are still to come down before they stabilize.
And what would be our quantum of imported newsprint?
On a consolidated basis, it's about 30%, if you have specific -- I mean, on a consolidated basis.
Yes. But, Sakshee, that really doesn't make a difference. Indian domestic newsprint is priced in accordance with international newsprint. So think of it as a pure commodity.
Okay. But no, I was asking because you said that the shipping cost would increase. So for domestic newsprint, this shipping cost would not be applicable, right?
No, no, it doesn't work like that. You have to compare the landed cost of imported and that's how the domestic newsprint supplier mark their output too.
All right. Got it. Got it. And my second question was on the digital side, if you could throw some light as to what we are going to be doing in the coming year?
So our main investment in the digital space from an HT Group consolidated business is the OTTplay, which we have now taken to market since beginning of this year. It's an aggregation play where we have a single user interface for the customer, which gives them access to over 30 platforms at a very affordable pricing as well as with recommendation engines and user interface planned by the customers' preference. So that's the proposition and that's our biggest bet in digital at this point of time. But it's the first year of scale-up of this business.
And if I may just add to what Anna said, given that we have -- we already have a big go-to-market in our newspaper business, the go-to-market in this whole business is what we call a physical and digital combined. This is a digital. So acquisition cost to that extent should hopefully be not out of that.
And given that there is a market for consolidating OTTs and serving it to the end consumer at a very affordable price and not having a very big acquisition cost, it is the proposition. We've seen some early successes in the first year. Of course, that's where all our digital investments are going.
So you're trying to say that your customer base is the same for your print and digital?
No, not exactly. I mean, it is one of the various channels. So we are, of course, going through the digital channel. We are going through the OEM channels, et cetera, but we have an inherent advantage of also having a newspaper channel, so which is an add-on.
Okay. All right. But you don't see any sort of cannibalization in this aspect?
OTTplay, it has nothing to do with ad dollars. It is more of a subscription business for people wanting to consume a certain external content.
[Operator Instructions] The next question is from the line of [ Hari S ]. Please introduce yourself and ask your question.
Am I audible, sir?
Yes, you are audible. Please go ahead.
This is Hari, I am an individual investor. Regarding this other expenditure, like what is the reason for -- can you throw some light on that, sir, increase in other expenditure? And this -- our raw material cost has come down, but why isn't that shown up in the net profit figure, sir? That's all, sir.
So we have been talking about the investment in the new business, and that's really taken. So if you look at the segment results, you will see that there is a considerable investment in the new business, which has impacted the operating EBITDA when you look at an overall. But if you look at the segment results and look at the core business, you will see there is substantial improvement in the EBITDA margins, which we called out in our investor presentation also.
And the cost of that new business largely gets reported in the other expense line with some components sitting in employee costs as well. And therefore, the entire increase that you're largely seeing is on account of the investments that's going into a new business from an expense point of view. Otherwise, for all 4 business, the expenses are well under control.
Continuing on that, ma'am, like by which year we can say the investment phase is completed for this new business? Like what is the deadline or anything?
This is the first year of having launched a new business. So it's very early to kind of put a deadline on this. Having said that, because it will scale -- it will have to be scaled up a lot more before it gets profitable. But we are hopeful as the revenue scale up to start reducing the losses of this business quite a bit.
Okay. Okay. Maybe you're expecting it to be 1 year or 2 years, ma'am?
At this point of time, I can't give a specific date, but yes, it will have to start showing the ROI sooner than later.
The next question is from the line of [ Kunal Tokas ]. Please introduce yourself and ask your question.
I hope I'm audible.
Kunal, yes, please, you are. Please go ahead.
Okay. My first question was, this new business, OTTplay, can you put a quantum of how much investment you have put behind this business till date?
It is there as part of our segment results reporting because in HMVL, the digital segment that gets reported is of OTTplay. So it's about -- around INR 70 crores of investment that's gone.
INR 70 crores. And another question was about accounting. You said that -- in response to the previous question, you said that the reason why the lower newsprint prices -- sorry, forget that. It was about -- you said that the major cost in the digital segment were content related. So are you expensing these costs? Or are you capitalizing these?
So let me answer this. All the costs on content and acquisition is always expensed. It is nothing is capitalized here but there is a certain accounting whereby it is expensed and trued up every quarter depending upon the number of subscriptions sold. So in a one full year cycle, of course, the entire cost will run through the P&L but will be trued up in all the 4 quarters. So nothing is capitalized, everything is expensed. The simple answer is that.
The next question is from the line of Rishikesh Oza. Please introduce yourself and ask your question.
Rishikesh here from RoboCapital. Sir, my first question is with respect to the print business. Our print business has posted 10% approx EBIT (sic) [ EBITDA ] margins after very long. Just wanted to get a sense, is this sustainable? And what's the room for improvement here?
So the fact -- the print margins was impacted by the escalated newsprint price, which we actually saw for a sustained period of time given quite a few of global incidents. That has now come down, which is prima facie the reason why the margins have improved. So unless there is any such unexpected global events, we are not expecting newsprint to go back to any such levels that we saw in the last 1, 1.5 years.
Therefore, it is definitely sustainable. As Piyush was responding to one of the earlier queries, for another 1, 2 quarters, we are expecting the newsprint rates to further soften before it stabilizes. And that is my expectation that it will really escalate like it's been. So definitely, it is sustainable. In fact, it should -- if revenue kicks in and growth coming in, margins should improve further from here on.
Okay. Okay. Also regarding the OTTplay, you said you've invested around INR 70 crores. How much more are we looking to invest? And what cash burn are we looking at in future years?
So Rishikesh, this is Piyush this side. So Rishikesh, as my colleague was articulating, this is the first full year of OTT operation. Of course, we had launched the product in the year prior. Now we are tracking the various key metrics, including the users, the activation, the content, the NPS scores and so on and so forth.
But given the fact that we are tracking it very closely, we will give it some more time. We have not put an absolute rupee number at this point in time that this will be the absolute outside level of investment. But if we see that the traction is coming and there is that real demand in the market, we will play it accordingly.
So at this point in time, I'm happy to say that we have seen those earlier thesis play out. But of course, is it as good as we thought? It's not. So we are fine tuning the engine. The product is complete.
There are 30 platforms on our OTTplay. The sum of part of the pricing is not even half of what it would if you were to take them separately and the customers are liking it. Now we will see in the next year how it plays out before we take a further call whether to scale it or the antithesis to that.
Okay. And one more question. We have a lot of liquidity investments on our balance sheet. What's the plan with the liquid investments that we have?
This exactly is what's happening. I mean, all the cash which is sitting in the balance sheet is being utilized for incubating our new businesses and supporting our existing businesses. As long as we can create long-term sustainable value for the shareholders, we'll utilize the cash prudently.
Okay. So I think that's around more than INR 1,000 crores of worth liquid investments that we have on balance sheet?
No, no, no. Yes. So if you look at HMVL on a stand-alone, you're absolutely right. But the...
I'm sorry, I was talking about HMVL.
Yes. You're talking about HMVL, yes, we have. OTTplay is also sitting in HMVL. As Anna highlighted, that INR 70 crores we've already expensed in the first 9 months. And then, of course, we also have to do further investments. So cash is being utilized there. So that's basically what the plan is.
Okay. But still that is a lot of cash that we have. So do we have any other plans because not all would be going for OTTplay, right?
Just because we spend cash, it doesn't immediately ensure returns. So we, of course, have to be cautious in how we deploy cash. We have taken a big bite in form of the investment in OTT. And therefore, we will not want to open multiple fronts like that. We will, however, cognizant of having to build businesses and verticals which give appropriate rate of interest.
The next question is from the line of Hari S. Please reintroduce yourself and ask your question.
This is Hari again, sir, individual investor. Yes. Regarding this radio, sir, there was expected to be a positive government policy change regarding our radio segment. Has this come out, sir?
Hari, we are all expecting that to come out soon, but not that we can state with any certainty. But I think given the elections are around the corner, I think it will be only after the national elections are done, but I believe the final policy is with the government for final notification. I think that's going to take some time. We believe it will be after election, but if it happens before that, that will be wonderful.
So it will be a wonderful policy for us, sir, or a border line policy?
No, it will be a wonderful policy for us. Because you have to understand at the time of auctioning, right from 2007, when they did the Phase I, they have charged a notice on the basis of 2.5% of the final auction or 4% of revenue, which incidentally probably was the right thing to do at that point in time, but given that the sector has turned and specifically after COVID, obviously, the government needs to understand that they need to support the sector.
The next question is from the line of Kunal Tokas. Please reintroduce yourself and ask your question.
Kunal again. I just forgot one question. It was about the OTTplay again. So what I understand is you started as an aggregator and you said that it is a very good proposition for the customers because it will provide access to various platforms at less than half the price.
Yes.
So my question was, while it might be a very good proposition for the customer, will it be an equally good proposition for the business because it seems like there is no differentiating factors stopping someone else from proving the same service, is there?
So we are not just buying various packages and just selling it as a bundle. We -- there are other players in the market doing that. However, what we are doing, it is a unified platform. What that means is it's a single log-in, it's not like any customer who buys OTTplay has to go to the individual 30 platforms to log in.
It's a single log-in to an OTTplay which offers them content by genre, across platforms according to their preference. And it is not that they need to -- I mean it will be by their preference. So it's not that they need to engage with one of the provider versus the other. This proposition incidentally is not offered by anybody else. There's only one other player in the space.
We are also looking at -- from a customer base, there are -- we believe there's a lot of people who are still being serviced by cable and ISP providers who are beyond the big players in the market. That's also the customer target that we are going after in terms of servicing.
So yes, we believe that we have a unique proposition. It's -- bundling is easy, but it's kind of a -- it has taken a lot of technological as well as product development to kind of offer this. There is convenience, there is affordability, there's abundance of content and there is personalization that happens across the platforms and packages that's...
So any unique content released on any of these platforms will be immediately available on OTTplay?
Yes.
All right. And anything stopping someone else from doing this aggregation as well, providing all of the content on a single?
One is the aggregation for us whereas the other part is the distribution and the execution of reaching it to the customer. That also, as Piyush earlier explained, we believe we -- our ability to access the physical and digital go-to-market model gives us a unique proposition. So it's not just about aggregating. It is getting to the right customers in the right manner and the right acquisition cost, which makes this business profitable.
Okay. And just a hypothetical question. Have you looked at maybe some preliminary calculations about the NPV of each customer you would get?
LCV is the constant...
Sorry, come again, what are you talking about, the lifetime value?
Yes, yes, for each customer.
Look, I mean we can do a theoretical calculation of lifetime value at this point in time. But as you would appreciate that...
It's just the first year.
Yes, exactly. We need to get a few more meetings before we kind of put a finger on that number. I understand most of these businesses are calculated on the lifetime value, but we don't want to mislead by picking up a number and saying the lifetime value is 5x of the cost of acquisition. At this point in time, we don't know. At this point in time, we have been financing the product so that the product is delighting the customer.
At this time, we are trying to get the relevant content. Therefore, 30 platforms are there. At this time, we are trying to get the customer at the least possible cost. Hence, the newspaper circulation channel is helping. And at this point in time, we are basically creating the product. And now that we have certain reading, I think the next year will give us a lot of readings basis which all your questions will be answered.
The next question is from the line of [ Yash R ]. Please introduce yourself and ask your question.
This is Yash R. I'm an analyst. Just wanted to know, the net cash, Piyush, has gone down from Q2 INR 821 crores to INR 754 crores, while our EBITDA has grown by INR 29 crores. That means we should have around INR 850 crores while we are at INR 750 crores. So we have invested some INR 100 crores in cash?
Yes. So look, I think, as Anna was articulating earlier, the OTT investment so far is around INR 70 crores and given that the newsprint prices are on a certain thing, there is a certain amount of cash which is tied up in working capital, which will unwind itself as we close in on 31st March because right now that the prices are coming down, we are more on the spot market rather than a forward, though there's no technically a forward market but other cash is in working capital, which will unwind itself. So from 31st of March, this number is only going to improve in spite of us financing the investment in OTTplay.
Yes. But OTTplay is already factored in the EBITDA, right?
Yes, OTTplay...
You are not capitalizing. It is all expensed.
Everything is expensed.
You are comparing it quarter-on-quarter and the incremental spends on OTT is also increasing. And there is working capital investment, which is both on the newsprint side and I would also say receivables to some extent because quarter 3 is a high quarter from a revenue perspective as the collections will happen over quarter....
So actually, most of -- Yash, most of the money is tied up in working capital, be it receivable or inventory. And it will give a flip from now to 31st March, and that cash will come back to the company.
The next question is from the line of [ Smiran Bhandari ]. Please introduce yourself and ask your question.
I'm Smiran Bhandari, I'm an individual investor. My question is regarding ad-for-equity. So I believe there were some real estate investments in the Noida NCR region through ad-for-equity. So what would be the quantum of those investments? And are those investments now bearing fruit?
Well, Smiran, thank you for your question. But as you know, not just in Noida, Greater Noida, Indirapuram, but we've got a lot of investment in terms of line items. These will be adding to more than 100, 150 investments. So I don't know which you're talking about because that's the business of AFE, and we've got various investments in Noida and Greater Noida area.
Okay. So what will be the total quantum amount of AFE and within that, the real estate investments?
Yes. So the total quantum will be over INR 650 crores, of which about 60% is in real estate.
Okay. And are we monetizing the real estate investments?
On a regular basis, last 3 years, we've been constantly monetizing quite a bit of our assets. It's reflecting in our cash flows also.
Okay. And you said 100 -- sorry, come again on the real estate investments?
So we are about 60% of INR 645 crores, so roughly about INR 370-odd crores in real estate and Piyush, the 100 number he said is in terms of the number of investments that we have.
Okay. Okay. And how much of it is sitting in HMVL and how much of it is in HT Media?
About half of this INR 650 crores is sitting in HMVL.
I would say it's more than half, let's say, 60% in HMVL, is it? Okay.
Ideally, I mean, this should be considered as a part of financial investments, right?
Well, it is. I mean, look, I mean, it's nothing strategic in nature. These are financial investments. As Anna was saying, in the last 3 years, our monetization has increased, and that's clearly an indication of what the market has been as you've been -- if you're talking about real estate, you know where the real estate markets are.
Given that opportunity, of course, we are making the best use of -- we are getting the best IRR but by using these assets. And I think it's a phenomenal space to be in. And given that we still have a substantial amount of book, I would say some of these investments are as close to cash and cash equivalent as they can be.
However, there is, of course, the operating revenue, the thing that it brings in, which, of course, is why we do AFE.
The next question is from the line of Kaustav Bubna. Please introduce yourself and ask your question.
How are you?
Doing well. Happy New Year to you.
Happy New Year. So I'm from BMSPL, and I have 2 questions. So firstly, your advertisement revenues have been flat. So I just wanted to understand -- on the print side. So just wanted to understand, as general elections come, what are your aspirations on this front? Do you see growth coming over the next 2, 3 quarters over here on a year-on-year basis?
So will elections give a flip? The answer is yes. So we are hopeful that between quarter 4 and quarter 1 of this year, we'll possibly do some better revenues than we typically see in such quarters. Otherwise, quarter 3 is always the highest revenue quarter.
Having said that, as and when -- while there will be a flip side on that spend, there is also the fact that government spends to DAVP comes under code of conduct and for 2.5 months or roughly that, the spends on that front reduces. So there is a net trade-offs, et cetera, that happens as well. But if the results are to the market interest, the general market is at the buoyancy and business sentiment being upbeat, we are hopeful that the revenue traction will be good.
Okay. Great. And my second question was on this digital business, the new venture. So right now, I understand you're investing money into it and it will take some time for it to show results. But when it matures, I mean what type of margin business should this be at maturity?
At a gross -- at a EBITDA...
EBITDA.
Yes, 15, 20 margin business, I believe.
The next question is from the line of Sakshee Chhabra. Please reintroduce yourself and ask your question.
On the OTTplay, I just wanted to understand what is our current subscriber base?
This is slightly competitive sensitive info, so we won't be able to share that at this point of time.
Okay. And my second question on that, on OTTplay was that when someone takes a subscription of this, can they view it on multiple screens like on the TV as well as on their mobile?
Yes.
They can, right? Okay.
The next question is from the line of Yash R. Please reintroduce yourself and ask your question.
Are you able to hear me?
Yes. Yash, we can. Please go ahead.
Yes. Sorry for that inconvenience. My question was regarding the ad-against-equity and property, what ratio of the ad revenue comes from this stream?
Yash, so I think this is again competitive sensitive info, so we won't be able to share the exact percentage.
Thank you all. With this, we come to the end of the Q&A session. If you have any further queries, please reach out to the Investor Relations team. Our contact details are given in the investor presentation and are also mentioned on our website.
I now hand Piyush for closing remarks.
Thank you, Aaditya. Thank you, everyone, for joining us today for our investors call. As you've seen that given the commodity prices and the festive season, we had some traction, which has come to the P&L. We sincerely believe that this journey will from here on, continue given the elections, given the year-end, and given the commodity price softening. With that, we hope to get even better results in the coming quarter, and we look forward to seeing you soon. Stay safe and a Happy New Year once again to all of you.